7-Eleven Franchises For Sale: Are They A Good Investment? | penrosent.cn

7-Eleven Franchises For Sale: Are They A Good Investment?


A Checklist For Business Buyers

7-Eleven franchises are one of the biggest names in the convenience store industry.  Established in 1927, there are now more than 8,500 7-Eleven franchises across the United States and Canada giving them a substantial portion of market share.  7-Eleven franchises were recently named number 4 on Entrepreneur magazine's list of "Top 10 Franchises" for 2013.  So with so many locations and awards to brag about, is a 7-Eleven franchise a good investment?


If you think about that question, what we are really asking here is are convenience stores a good investment and if so, is a 7-Eleven franchise the best franchise option for you to choose?  From experience, I can say, yes I think you get a lot of "bang for your buck"? with a 7-Eleven franchise.  Before we talk about 7-Eleven specifically, let's talk about convenience stores as a whole first.

Despite the economy, convenience stores for sale have remained profitable by catering to the changing needs of the consumer.  Take coffee for instance.  In the past, many consumers would think nothing of hitting up the Starbuck's drive-thru for their morning cup of coffee, spending  $4 or more, just on a drink.  Now that people are more focused on watching every dollar they spend, convenience stores like 7-Eleven franchises are competing with big name coffee companies for that daily business by offering a more affordable coffee alternative.  The same is true for many other products. Additionally, most convenience stores are small making it easy to get in out quickly, appealing to the customer that only needs one or two items.

Now, keep in mind, I've seen an argument opposing what I just said.  In an article I read recently, one expert felt that because of the high unemployment rate there are less people traveling to and from work each day, therefore fewer customers are frequenting convenience stores.  I am sure that could be true in some areas, but for the most part I think the convenience store business has held up well in these tough economic times and will continue to be a good business when it is in a high traffic location and it is managed correctly.  Now let's talk about 7-Eleven franchise businesses specifically.

Visit 7-Eleven's website and you will quickly see that they devote some resources toward attracting, educating and supporting franchisees.  They offer seminars to see if a 7-Eleven franchise would be a good fit for you and their site contains a lot of information about the franchising process in general. This is a good sign for a potential franchisee.  It shows their commitment to their partners and the level to which they are willing to help.

The site mentions the franchise fee which ranges from $10,000 - $1,000,000 depending on a number of things but for that price, you are getting a good amount of name recognition, ongoing support, and are able to work with a company that has been in the industry for years. Being in the industry for years has given them valuable knowledge that can be hard to come by.

One thing that really stands out to me about a 7-Eleven franchise is that while there are ongoing royalties that need to be paid to the franchisor, you pay royalties based upon the store's gross profit.  Under this system, the financial return to you and to 7-Eleven is only tied to your profitable sales, not just your sales alone.  This is different from many other franchises which charge royalties based on a percentage of total sales.  The 7-Eleven system could ultimately mean a more profitable business for you as a franchisee.

Backed by a powerful brand, a support system for franchisees and a royalty system that makes sense, I think a 7-Eleven franchise is a good investment.  The downside is, they are a 24/7 operation and that is non-negotiable for all franchise owners so be prepared for some staffing challenges as that is a lot of shifts to cover.  But use the support of the 7-Eleven franchise system and learn how to staff efficiently and it shouldn't be a problem!

Peter Siegel, MBAAbout This Contributor: Peter Siegel, MBA is the Founder & Senior Advisor (ProBuy & ProSell Programs) at penrosent.cn (established 1994, 8000+ CA businesses for sale, 500 new & refreshed postings/posts daily) working with buyers, business owners/sellers, business brokers, agents, investors, and advisors). Reach him direct at 925-785-3118 to discuss strategies regarding buying, selling, (or financing a puchase of) California convenience store businesses.

Categories: BizBen Blog Contributor, Buying A Business, How To Buy A Business







  Helpful Resources To Assist In Selling And Buying California Businesses
Mike Nova, Business Broker: North Bay Restaurant, Retail Specialist

I have over 30 years of direct restaurant industry experience, including my personal experience as a restaurant owner. For the last 7 years I have worked as a Broker specializing in this challenging and ever changing field of restaurant and bar sales. Contact me at 510-708-6682 Cell.

Michael Davidson, Business Broker - Southern California

Los Angeles Business Broker providing M&A quality services for Small Business Owners. We leverage our technology and expertise to Simplify & Expedite the Business Sales Process. Matching the right buyer with the right business is how we define success.

Ryan Clark, Business Broker: Southern California

The Veld Group provides a refreshing approach to Business Brokerage, Mergers & Acquisitions and Business Consulting and Valuations. From Your Street to Wall Street, we cater to Main Street Businesses as well as more complex Strategic Firms and Start-Ups. Phone Ryan, Business Broker at 310-652-8353.

Chris Seaman, Business Broker: Southern California

Founded in 1994, First Choice Business Brokers has accelerated to become one of the most successful Business Sales Organizations in the world. Our team of agents have gone through extensive training to become experts in the field of business brokerage. Call Chris at 858-578-4111 for more info.

William Park, Business Broker: Southern California

Highest Volume Broker in California, Simply Check our HUNDREDS of Listings! Over 25 Associates, Speaking Dozen Languages, Helping Buyers and Sellers of Small Business since 1982, Centrally Located between Los Angeles and Orange Counties, while Riverside & San Bernardino Counties are Very Accessible.

Manjit Singh, Business Broker - SF Bay Area, Central Valley

Assistance in the SF Bay Area & Valley. Contact me about buying or selling a restaurant, liquor store, gas stations, markets, and c-store businesses. If you are looking to buy or sell a SF Bay Area, Central Valley liquor store, market, c-store, restaurant, etc phone me direct at 510-417-9429 Cell.

Jim Saxton, Liquor License Broker & Consultant - SF Bay Area

20 years experience of local governmental requirements, such as Police Departments, Zoning / Planning Departments, and ABC District Offices, my company Liquor Licenses of SF Bay Area is very qualified to resolve all of your concerns during the liquor license transfer process. Call 925-787-0770.

Mike Brewer: Liquor License Broker, ABC Consulting Service

Liquor license brokerage and consulting services. We provide: Alcohol License Transfers Application Consulting & Processing, Liquor License Purchases & Sales, City Zoning Permits & Land Use Entitlements, Public Convenience or Necessity Findings and Letters. Phone Mike Brewer direct at 800-437-1100.


  Related Articles, Events, Blog Posts, Discussions, Videos, Interviews
Buying A Restaurant: 5 Myths Restaurant Buyers Should Know About

Jeff Back, Restaurant Broker & Consultant in the SF Bay area discusses myths about buying restaurant small businesses. It's not what you have been told. He includes 5 myths of the most frequently sited principles for success that are simply myths when examined over decades of his experience.

Liquor License Assistance Consultant - San Francisco Bay Area - Jim Saxton

Jim Saxton - 20 years experience of local governmental requirements, such as Police Departments, Zoning / Planning Departments, ABC District Offices, my company Liquor Licenses of SF Bay Area is very qualified to resolve all of your concerns during the liquor license transfer process. 925-787-0770.

FREE Webinar: Buying Or Selling San Francisco Restaurants - Best Practices

This informative 40 minute interview/webinar about buying & selling restaurants in San Francisco with restaurant broker specialist Cheryl Maloney is a real eye opener for restaurant buyers and sellers. Cheryl gives great advice to both buyers and sellers from her years of experience in the industry.

Tips From A Restaurant Broker - Check A Restaurant For Karma Before You Buy

Jeff Back (925-736-8200), a SF Bay Area broker specialist who specializes in selling restaurants discusses what he looks for when sizing up a potential restaurant for sale. Do the restaurants you're thinking of purchasing have good Karma? See Jeff's insights into this topic on restaurant karma.

Why Restaurant Buyers Typically Fail: Best Pro Tips For Buying A Restaurant

Buying a restaurant (no matter what type) can have many pitfalls, and potential restaurant buyers should know how to avoid getting burned! Several restaurant intermediaries and advisors weigh in on this BizBen Discussion about the best way to find, purchase and run a restaurant successfully!

Article On Buying C-Stores: Finding Moneymaking Convenience Stores

Trying to find the best convenient store for sale? Learn how to find convenient stores for sale with high traffic, profitable locations to maximize your investment. Peter Siegel, MBA (925-785-3118) the Director of the ProBuy & ProSell Programs with penrosent.cn explores this topic on buying a C-Store.

BizBen Podcast & Webinar: Business Purchase Financing And SBA Loan Options

Ever wonder what is involved in obtaining business purchase financing to buy a business or franchise? Peter Siegel, MBA who has over 25 years advising on all types of financing for business buyers in this BizBen Podcast & Webinar - SBA loans, Non-SBA Financing, Alternative Financing Sources.

6 Simple Things To Increase Business Value Before Offering It For Sale

How do you value a small business before putting it on the market? Tim Cunha, JD offers 6 items all business owners should consider. Other advisors and business brokers also weigh in on this very important topic especially when over 70% of small businesses never end up selling (due to pricing).


Veld Group Business Brokerage Los Angeles County
Prabhjot Randhawa Business Broker SF Bay Area
Jim Saxton SF Liquor Licenses
SF Bay Area Business Broker Manjit Singh
Facebook
Twitter
Linkedin
Vlogs and Podcasts
BizBen ProSell Program
BizBen ProBuy Program
New Postings Reports On BizBen Sign Up
Instant Email Alerts On BizBen
BizBen Blogs And Articles

BizBen - Where California Deals Get Done! 888-212-4747
7172 Regional Street #364 · Dublin, CA. 94568
BizBen · Copyright © 1994 - 2020, All Rights Reserved



Clost Login


Please confirm your registration by clicking the link we've sent to .

If you can't see it, please check your junk mail folder.

If you have any problems registering, or need assistance with your new BizBen User Account please phone BizBen Customer Support at 888-212-4747.



First Name:*
Last Name:*
Email Address:*
Confirm Email:*
Create Password:*
Confirm Password:*
Phone:
(   
 


You Are A:
Individual
 
Intermediary
 

Email Address:
Password:
 

500 New & Refreshed Detailed Postings Daily
Over 2500 Resources Available On BizBen
Since 1994. Where California Deals Get Done!
FREE Webinar: Buying Or Selling San Francisco Restaurants - Best Practic...
Read More News
Buying A Restaurant: 5 Myths Restaurant Buyers Should Know About
Read More News